COMPANY ANNOUNCEMENT 24 AUGUST 2014

GENERAL DYNAMICS / AUSTAL TEAM AWARDED LCS PLANNING YARD DESIGN SERVICES CONTRACT

Austal Limited (Austal) (ASX:ASB) is pleased to announce that Bath Iron Works (BIW) has been awarded the Littoral Combat Ship (LCS) Planning Yard Design Services Contract. Austal USA had earlier teamed with BIW for this tender.

The U.S. Navy has awarded BIW a contract for LCS Planning Yard Design Services with a potential contract value of approximately US$100 million if all options are exercised. The LCS Planning Yard contract includes, engineering, planning, ship configuration, material and logistics support to maintain and modernize both the Freedom (LCS 1) and Independence (LCS 2) variants of the LCS class.

Austal Chief Executive Officer Andrew Bellamy said, “This contract award is great news for Austal. It is strategically important to the further growth of our post-delivery service and support business. We can now look forward to finalising the contract details with General Dynamics”.

Austal will update the market further as contractual details are formalised.

-Ends-

Page 1 of 2

About Austal

Austal is a global defence prime contractor and a designer and manufacturer of defence and commercial ships. For more than 25 years Austal has been a leader in the design, construction and maintenance of revolutionary ships for Governments, Navies and operators around the world. More than 250 vessels have been delivered in that time.

Ships Defence vessels designed and built by Austal include multi-mission combatants, such as the Littoral Combat Ship (LCS) for the and military high speed vessels for transport and humanitarian relief, such as the Joint High Speed Vessel (JHSV) for the United States Navy and High Speed Support Vessel (HSSV) for the Royal Navy of Oman. Austal also designs, constructs, integrates and maintains an extensive range of patrol and auxiliary vessels for government agencies globally, including the Cape Class Patrol Boat Program for Australian Customs and Border Protection. Defence vessels are designed and constructed in Mobile, Alabama and in Henderson, Western .

Austal has been at the forefront of the high speed ferry market since the early days of the industry. Our market leading designs of high performance aluminium vessels have long been at the heart of Austal’s research and development. Today, commercial ship construction is centred on our shipyard in Balamban, Philippines.

Systems Austal has expertise in integrating complex systems into its ships, including ride control, ship management, and communication, sensors and weapon systems.

Support Austal provides a wide range of support services, including through life support, integrated logistics support, vessel sustainment and systems support. These services are delivered through our global support network in the USA, Australia, Asia, the Caribbean and the Middle East together with partner shipyards worldwide.

For further information contact:

Austal, Public Relations Tel: +61 8 9410 1111 Fax: +61 8 9410 2564 Email: [email protected] Website: www.austal.com

Page 2 of 2